Blog 1: Transnational Human Resource Systems

               When first time I heard about this topic, I cannot understand thoroughly all of the content but with the help by Dr Roya, I can slowly understand the subject. Transnational HR Model is the models that involve the organizational structure of enterprise in an organization (Dee Hock, 2010). Four basic structures or models were introduced; that organization may manifest in their global development which is multinational, global, international and transnational organizations.

            Multinational organization is one that is highly decentralized, consisting of numerous independent local business units and little control at the center. It is an independent approach since all the external activities is the assembly of independent activities. Example of this model is the company of Kentucky Fried Chicken (KFC).

            The next model is the globalization organization model. Global is used for worldwide and broad activities. This model is the model that highly centralized and standardized, minimizing the needs of the local business units. This approach has disadvantage, which is the management of organization does not have the power to change the system because of the centralization. It is suitable for business that uses the single type of its product and operating environment.

            The third model is the international organization model. This type of model is largely centralized by the organization, but it takes the learning and sharing approaches. Taking the local innovations and integrate it into the global business is the way of how this model operates. It involves the transfer of knowledge and information from the center of organization to other country that was the branches. In my opinion, Maybank is one of the examples of organization that uses this type of model.

            Lastly is the transnational organization model. This is the new model. It focuses on the apprenticeship outside the national borders with the view to optimizing the reaction adapted to different markets (C.A. Borlett, S. Ghoshal, 1989). The use of this model is when one regional unit has developed a solution or a product; it can easily be spread to other branches around the world. It facilitates the spread of the solution or the product establishment.

            From all the information above, I can understand more about the four types of approaches that the organizations can use. Every model has different approaches that may give benefits to different needs of organization. (384 words)

Reference

C.A. Borlett, S. Ghoshal. (1989). Managing Across Borders: the Transnational Solution, Boston, Harvard Business School Press.